Zynga (NASDAQ:ZNGA)

Perhaps you've heard of Mafia Wars, FarmVille, Café World, and Zynga Poker. Zynga distributes games through social networking sites and via mobile apps. The company makes money through the sale of virtual goods associated with their games and through advertising.

All-Star Players

Wall Street

Top ZNGA Bull/Bear Pitches

Submitted July 25, 2014

ZNGA is bleeding money and the company needs better games, but it is sitting on close to $700 million in cash and no debt. ZNGA has a lot to figure out (like how to generate revenue outside of Facebook), but the stock is near historically low prices… More

Gaming and especially mobile gaming is strong and getting stronger. As more global consumers gain access to smart phones and tablets along with higher speed internet access, user count in mobile gaming will continue to grow.

The latest hit game, CSR 2, from Zynga subsidiary, Natural Motion games, gives new CEO Frank D. Gibeau a great foundation. With a long history at EA, he has the no how to create and build a lasting franchise.

Zynga recently downsized its office in SF, giving it a cash boost to add to its war chest of over 800 million. So look for more acquisitions to be made.

One of which might even be Zynga itself as we saw competitor, and maker of the hit Clash of Clans games, Supercell get bought up by Chinese internet giant Tencent for 10 billion dollars.